LOS ANGELES, Aug. 4 /PRNewswire/ -- Kerr Group Inc. (NYSE: KGM), today reported net earnings from continuing operations applicable to common stockholders (after deduction for preferred stock dividends) of $1,191,000 or 32 cents per common share (primary and fully diluted) for the second quarter of 1993, compared to net earnings from continuing operations applicable to common stockholders (after deduction for preferred stock dividends) of $1,390,000 or 38 cents per common share (primary and fully diluted) for the second quarter of 1992.
Net sales and earnings of the Plastic Products Business, the larger of the company's two businesses, increased in the second quarter of 1993 compared to the second quarter of 1992. Earnings of the Consumer Products Business decreased in the second quarter of 1993 compared to the second quarter of 1992 because of lower sales as a result of adverse weather conditions in many areas of the country where the company markets home canning supplies. These poor weather conditions continued during the month of July, adversely affecting sales and earnings of the Consumer Products Business.
Net sales from continuing operations were $38,113,000 in the three months ended June 30, 1993 compared to $38,821,000 in the year ago period.
Earnings from continuing operations applicable to common stockholders (after deduction for preferred stock dividends) for the six months ended June 30, 1993 were $689,000 or 19 cents per common share (primary and fully diluted) compared to earnings from continuing operations applicable to common stockholders (after deduction for preferred stock dividends) of $790,000 or 21 cents per common share (primary and fully diluted) for the six months ended June 30, 1992.
Net sales from continuing operations for the six months ended June 30, 1993 were $64,787,000 compared to $63,557,000 in the year ago period. The increase in net sales for the six months was because of higher sales of plastic products.
Kerr, headquartered in Los Angeles, is a major producer of plastic packaging products and home canning supplies.
KERR GROUP INC.
Results of Operations for the
Three Months and Six Months Ended June 30, 1993 and 1992
(In Thousands)
Three Months Six Months
Ended June 30, Ended June 30,
1993 1992 1993 1992
(Unaudited) (Unaudited)
Net sales $38,113 $38,821 $64,787 $63,557
Earnings from continuing
operations before
income taxes 2,348 2,651 1,864 2,059
Provision for
income taxes 950 1,054 761 855
Earnings from continuing
operations 1,398 1,597 1,103 1,204
Net loss from discontinued
operations(b) 0 (818) 0 (1,389)
Net earnings (loss) 1,398 779 1,103 (185)
Preferred stock dividends 207 207 414 414
Net earnings (loss)
applicable to common
stockholders $1,191 $572 $689 ($599)
Net earnings (loss)
per common share,
primary and fully
diluted(c):
From continuing
operations(a) $0.32 $0.38 $0.19 $0.21
From discontinued
operations(b) 0.00 (0.22) 0.00 (0.37)
Net earnings (loss)
per common share $0.32 $0.16 $0.19 ($0.16)
(a) Net earnings (loss) from continuing operations per common share is calculated by subtracting preferred stock dividends from earnings (loss) from continuing operations and dividing the result by the applicable weighted average number of common shares outstanding.
(b) The company sold its Metal Crown Business on Dec. 11, 1992, and its Commercial Glass Container Business on Feb. 28, 1992 and, accordingly, has reflected the results of these discontinued businesses for the three months and six months ended June 30, 1992 separately from continuing operations in the above table. The net loss from discontinued operations of $818,000 or 22 cents per common share and $1,389,000 or 37 cents per common share for the three months and six months ended June 30, 1992, respectively, is attributable to the Metal Crown Business. The presentation of these businesses in the 1992 period as discontinued operations had no effect on net earnings (loss), net earnings (loss) applicable to common stockholders and net earnings (loss) per common share from the amounts previously reported in the 1992 period.
(c) Weighted average number of common shares outstanding for the three months and six months ended June 30, 1993 were 3,668,000 and 3,671,000, respectively, and for the three months and six months ended June 30, 1992 were 3,675,000. Fully diluted net earnings per common share reflect when dilutive, 1) the incremental common shares issuable upon the assumed exercise of outstanding stock options, and 2) the assumed conversion of the preferred stock and the elimination of the related preferred stock dividends. Antidilution occurred in the three months and six months ended June 30, 1993 and 1992.
-0- 8/3/93
/CONTACT: D. Gordon Strickland, Senior VP-Finance and CFO of Kerr, 310-284-2585/
(KGM)

CO: Kerr Group Inc. ST: California IN: HOU SU: ERN

EH-LM -- LA022 -- 9396 08/04/93 12:54 EDT

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